Installer Blog

Green deal is a good option for savvy consumers

I got involved in energy consumer issues through my experience working in Wigan on means tested benefit work years ago. I found most of the homes I visited were cold because people were scared of bills. Unfortunately it has got a lot worse since. We know from our surveys that the majority of us ration our energy use in winter. If bills go up from the present £1353 average to £1500 a year, 37% of us will switch our heating off.

Making energy affordable is not just about getting people on the best deal, it is also about reducing energy use. Late last year we surveyed over 5,000 households and found nearly 70% of bill payers wanted to make their homes more energy efficient. Nearly 90% said energy cost was the reason why but most were not doing it because they didn’t know what to do, had real worries about the quality of energy efficiency work or felt they couldn’t afford it.

This is why I am the No. 1 fan of Green Deal. Here’s why:

• Firstly, the assessment by a qualified assessor not only gives you an energy rating, but also tells the most effective measures to reduce your use.

• Second, the Green Deal mark ensures that quality standards are applied. These are backed up by robust redress arrangements to provide excellent consumer protection to cover the unlikely event that things go wrong.

• Thirdly, the financial package is available subject to a golden rule, which means the savings you made will cover the cost of doing the work.

I am confused by the criticism of the GD financial package. At just under 7% this is a great deal. You would have to be very credit worthy to get an unsecured loan on the High Street at this rate. Also, many people wouldn’t be able to get a High Street loan at all. So with over 80% likely to qualify for a Green Deal package this is excellent way of financing Green Deal plans.

However, I don’t think Green Deal should be judged on how many people take the financial package. If people get an assessment and then use that to inform their plans for making their homes more energy efficient, that is a good result. If they then go on and get energy efficiency work that is great. So success of Green Deal needs to take account of all stages of the journey people go through.

I have been waiting for something like the Green Deal for a long time. I think everyone should do what they can to promote Green Deal and help to make it happen. I am going to do what I can. I think it is our duty to ensure we do everything to make it possible for people to use the energy they need to lead comfortable and healthy lives.

About The Author

Ann Robinson, Director of Consumer Policy at uSwitch.com, is passionate about empowering consumers and making sure that they are equipped to get the best out of a competitive energy market. She sees her role as a continuation of the work she did when she was Chair of Energywatch and is particularly interested and vocal on social issues such as fuel poverty.